Continue to strengthen our internal control system
To keep growing while maintaining the trust of our customers and partners, our internal control system was bolstered in 2020 and is being deployed at all levels of the company. It is based on six cross-departmental functions (LEGAL, Compliance, RISK, Tax, Finance, Inspection Générale) and is supported by strict policies and procedures.
This system goes hand in hand with an ever-stronger culture of compliance. The objective? Further improve our operational model to fight money laundering, terrorism financing and corruption. Likewise, we are constantly stepping up procedures for complying with international financial sanctions and e-learning programs for all our employees.
This risk management policy, combined with the strategy of diversifying our loan portfolios, contributes directly to the Group’s solidity.
Climate change is a risk factor that is becoming increasingly important both in the BNP Paribas risk analysis and in the concerns, and therefore the expectations, of our various stakeholders: customers, investors, Group supervisors and civil society.
Frank Roncey, Chief Risk Officer
66 pb*
This is the cost of risk in 2020, up by 27 points compared to 2019
*Cost of risk reported on outstanding client loans at the beginning of the year (in basis points).
A RISK CONTROL SYSTEM, PRESENT AT ALL LEVELS OF THE COMPANY
PERMANENT CONTROL | PERIODIC CONTROL | |
|---|---|---|
PERMANENT CONTROL 1st line of defense Operational entities: business lines and functions | PERIODIC CONTROL 2nd line of defense Functions: LEGAL, Compliance, RISK, Tax, and Finance | 3rd line of defense Inspection Générale |